Sou Hu Cai Jing·2025-08-20 23:30Core Viewpoint - China Resources Beer reported a mixed performance in its mid-year results for 2025, with revenue growth in beer but a significant decline in its liquor business, reflecting broader industry challenges and strategic shifts within the company [2][3]. Group 1: Financial Performance - For the first half of 2025, China Resources Beer achieved a revenue of 23.942 billion yuan, representing a year-on-year increase of 0.8% [2]. - The net profit attributable to shareholders was 5.789 billion yuan, showing a substantial year-on-year growth of 23% [2]. - The beer segment generated an unaudited revenue of 23.161 billion yuan, up 2.6% year-on-year, with beer sales volume reaching approximately 6.487 million kiloliters, an increase of 2.2% [2]. Group 2: Beer Business Insights - High-end beer products continued to perform well, with sales of premium and above beer increasing by over 10% year-on-year [2]. - The "Heineken" brand saw a sales growth of over 20% despite a high base from the previous year, while "Snow Beer" sales surged by over 70% [2]. Group 3: Liquor Business Challenges - The liquor segment faced significant challenges, with unaudited revenue of 0.781 billion yuan, down 33.7% from 1.178 billion yuan in the same period last year [2][3]. - The major product "Abstract" contributed nearly 80% of the liquor business revenue, indicating a heavy reliance on this single product [2]. Group 4: Strategic Direction and Management Changes - Following the departure of former chairman Hou Xiaohai, the current management, led by CEO Zhao Chunwu, aims to continue the existing strategic direction without major changes [3]. - The company is focusing on developing mid-range and light bottle liquor products as part of a "dual-wheel drive" strategy, while also monitoring the impact of seasonal demand during the Mid-Autumn Festival and Spring Festival [3][5]. Group 5: Market Conditions and Future Outlook - The liquor industry is undergoing a deep adjustment, with significant price declines observed, particularly affecting high-end products due to reduced demand in business dining and high-end Chinese dining scenarios [5]. - The wholesale reference price for "Abstract" has dropped significantly, with a current price of 372 yuan per bottle, down over 80 yuan since the beginning of the year [5].